Canada home prices likely to drop in 2025 as tariff uncertainty persists:
TD Bank's revised home price forecasts have fallen most for British Columbia and Ontario TD Economics now forecasts a 3.2 per cent drop in average Canadian home prices in 2025, as well as a decline in sales of 0.9 per cent. (Andrew Francis Wallace/Toronto Star via Getty Images) · Andrew Francis Wallace via Getty Images “This much-softer starting point has led us to materially mark down our 2025 annual average growth forecasts for Canadian home sales and prices,” Sondhi wrote. TD now forecasts a 3.2 per cent drop in average home prices this year, as well as a decline in sales of 0.9 per cent. The tariff situation is seen as a key factor for the first quarter as well as the outlook ahead. Sondhi explicitly notes that the December forecast came prior to the January 20 inauguration of U.S. President Donald Trump. Trump’s announcement of tariffs on that date was singled out as the “moment” that sales began to plunge by the Canadian Real Estate Association, with...
